2010/10/22
Coretronic Corporation Announces Third Quarter 2010 Results
Hsinchu, Taiwan – Coretronic Corporation (5371.TW) today announced its financial results for the third quarter of 2010. For the third quarter ended Sept. 30, 2010, Coretronic posted consolidated sales revenue of NT$25,903 million with an operating income of NT$1,360 million, up 1% and drop 10% from the previous quarter respectively. Net income totaled NT$1,133 million, dropped 12% QoQ. Net income attributable to equity holders of the parent company is NT$1,052 million with the basic EPS* of NT$1.45 per common share.
For the first three quarters of 2010, Coretronic reported consolidated sales revenue of NT$72,760 million and the operating income totaled NT$4,023 million with a net income of NT$3,478 million. Net income attributable to equity holders of the parent company is NT$3,232 million with the basic EPS* of NT$4.46 per common share.
“For the third quarter, Coretronic’s LCD Backlight revenue reached NT$17,375 million or 5% growth QoQ. The increase is due mainly to the strong sales from LED TV and Monitor application. However, the total Backlight shipment was 19.8 million units in the third quarter, representing a 7% drop QoQ. The LED penetration rate for TV and Monitor BLU is 31% and 36% respectively in the third quarter. For the first three quarters of 2010, LCD Backlight revenue amounted to NT$47,472 million and shipment was 61 million units, up 47% and 34% YoY, respectively.” said Mr. Fred Huang, President of Backlight Business Group of Coretronic. The LED TV BLU demand would temporarily slow down in 4Q10 due to the slower markets in the US and Europe and the high-end LED Monitor BLU models will enter the EOL period with the market expecting the refresh models MP in 1Q11. Therefore, Coretronic expect the QoQ shipment will decline around 20%. Nevertheless, the new LED TV BLU models for Japanese brand customer would be launched in December this year and the tablet new products will also start mass production in 1Q11. We expect the BLU business to turn positive trend in the first quarter of 2011.
“The third quarter has been the traditional high season for Projector; there was an unusual decline in 3Q10 as a result of the channels pulling in inventory in 1H10 slow season resulting from key component shortage in the beginning of 2010. The sales revenue and shipment declined to NT$5,024 million and 356K units in 3Q10, dropped 11% and 7% QoQ, respectively. For the first three quarters of 2010, Projector revenue amounted to NT$15,467 million and shipment was 1,058K units, up 48% and 68% YoY, respectively.” said Mr. Shen Wang, President of System Business Group of Coretronic. The SVGA and XGA resolution models dominated the main portion of Projector shipment in 3Q10 and the 3D glasses for Japanese LCD TV brand customer had shipped more than 284K units in 3Q10. The monthly shipment forecast is expected to reach 85K~90K units in 4Q10 and Coretronic is targeting at leading the market with significant growth of more than 30% YoY and increasing the market share to 20% in 2010. Furthermore, Coretronic expects strong growth in 1Q11 as a result of the new orders from Japanese customers and the mass production of high-end ultra short throw projectors.
* Basic EPS was calculated based on the total weighted average outstanding shares of each quarter (724m shares in 3Q10; 724m shares in 2Q10).
For the first three quarters of 2010, Coretronic reported consolidated sales revenue of NT$72,760 million and the operating income totaled NT$4,023 million with a net income of NT$3,478 million. Net income attributable to equity holders of the parent company is NT$3,232 million with the basic EPS* of NT$4.46 per common share.
“For the third quarter, Coretronic’s LCD Backlight revenue reached NT$17,375 million or 5% growth QoQ. The increase is due mainly to the strong sales from LED TV and Monitor application. However, the total Backlight shipment was 19.8 million units in the third quarter, representing a 7% drop QoQ. The LED penetration rate for TV and Monitor BLU is 31% and 36% respectively in the third quarter. For the first three quarters of 2010, LCD Backlight revenue amounted to NT$47,472 million and shipment was 61 million units, up 47% and 34% YoY, respectively.” said Mr. Fred Huang, President of Backlight Business Group of Coretronic. The LED TV BLU demand would temporarily slow down in 4Q10 due to the slower markets in the US and Europe and the high-end LED Monitor BLU models will enter the EOL period with the market expecting the refresh models MP in 1Q11. Therefore, Coretronic expect the QoQ shipment will decline around 20%. Nevertheless, the new LED TV BLU models for Japanese brand customer would be launched in December this year and the tablet new products will also start mass production in 1Q11. We expect the BLU business to turn positive trend in the first quarter of 2011.
“The third quarter has been the traditional high season for Projector; there was an unusual decline in 3Q10 as a result of the channels pulling in inventory in 1H10 slow season resulting from key component shortage in the beginning of 2010. The sales revenue and shipment declined to NT$5,024 million and 356K units in 3Q10, dropped 11% and 7% QoQ, respectively. For the first three quarters of 2010, Projector revenue amounted to NT$15,467 million and shipment was 1,058K units, up 48% and 68% YoY, respectively.” said Mr. Shen Wang, President of System Business Group of Coretronic. The SVGA and XGA resolution models dominated the main portion of Projector shipment in 3Q10 and the 3D glasses for Japanese LCD TV brand customer had shipped more than 284K units in 3Q10. The monthly shipment forecast is expected to reach 85K~90K units in 4Q10 and Coretronic is targeting at leading the market with significant growth of more than 30% YoY and increasing the market share to 20% in 2010. Furthermore, Coretronic expects strong growth in 1Q11 as a result of the new orders from Japanese customers and the mass production of high-end ultra short throw projectors.
* Basic EPS was calculated based on the total weighted average outstanding shares of each quarter (724m shares in 3Q10; 724m shares in 2Q10).
